Prime Minister Julia Gillard has been scrambling to increase oversight of foreign guest worker deals for big resource projects as she fended off opposition attempts in ­Parliament to exploit cabinet ­divisions over the plan.

More formalised scrutiny of the deals was being examined by the government ahead of what is expected to be a rowdy meeting of Labor MPs this morning. Labor senator Doug Cameron will foreshadow a motion calling for a more robust process for hiring staff under deals that would ensure Australians had fair access to the jobs, and migrant workers received local working conditions.

Immigration Minister Chris Bowen announced an enterprise migration agreement (EMA) on ­Friday that would allow Gina Rinehart’s company to hire up to 1715 workers for the Roy Hill iron ore project in Western Australia, a decision attacked by some Labor MPs and union leaders. Labor backbenchers have held confidential discussions with Mr Bowen before the meeting today in a bid to accommodate party concerns.

The Greens will move on Tuesday to give Parliament the power to ­scrutinise and regulate the deals.

The Business Council of Australia sent a letter to all Labor MPs calling on them to hold their nerve and avoid adding red tape to EMAs.

Government sources dismissed the idea that the migration agreements – which set up an over-arching agreement on access to overseas workers for big resource projects – may go to a new cabinet sub-committee.

Other ideas are being examined to appease the calls for more scrutiny of the deals beyond Ms Gillard’s concession to the unions on Friday to establish an online “jobs board” to advertise explicitly for Australian workers, rather than companies being allowed to hire consultants to analyse the labour market. Criticism of the deal from trade unions, along with anger within the government at the handling of the issue, has once again sparked leadership speculation.

But Ms Gillard’s hold on the prime ministership remains unchanged and she retains support from key union leaders, though there is now more disillusionment among unions about her leadership.

Under a sustained and focused parliamentary attack in question time, Ms Gillard and her senior ministers were quizzed about the Roy Hill migration agreement for Ms Rinehart, and reports of differences between ministers on the deal.

Ms Gillard repeatedly avoided endorsing the agreement during question time – until the last opposition question – giving weight to reports that she had distanced herself from the deal, and said she had not been briefed on it until last week, when talking to trade union leaders on Friday.

Mr Bowen and Workplace Relations Minister Bill Shorten were also quizzed on their roles in the deal.

Mr Bowen was asked whether it was true that he did not brief Ms Gillard on the deal, and Mr Shorten was asked about reports he had intervened to improve it.

Mr Bowen revealed he provided a detailed briefing about the controversial deal to the Prime Minister’s office at the beginning of last week.

He said there had been “substantial consultation between my office and other ministerial offices” over the deal last week.

“The arrangement with Roy Hill was not struck until later that week, the detailed brief was provided to the Prime Minister’s office early in the week of the 21st of May,” he said.

Ms Gillard said she was briefed on the plan after she returned from overseas.

She was pressed by Opposition Leader Tony Abbott on whether she backed the “whole deal” and whether she had told trade union officials that she did not support it.

Ms Gillard initially told Parliament on Monday she supported the Roy Hill project because it would employ up to 6500 Australians, but avoided saying whether she backed the agreement to hire foreign workers.

“The Roy Hill agreement will go ahead,” she said.

“It supports Australian jobs and I support Australian jobs.” She eventually endorsed the deal. Mr Bowen told Parliament the resources project was “vital for Australia’s future” and that the EMA would help deliver it.

“The money needed to be raised for this project is $9.5 billion. That makes this the biggest single debt raising to occur on the planet this year,’’ he said.

“To get that finance, Roy Hill needs to reassure investors that it is able to complete the project on time and on budget.”

Resources Minister Martin Ferguson said Labor had made it clear in the 2011-12 budget that it was open to striking EMAs to help secure resources projects.

Mr Ferguson, Mr Bowen and Special Minister of State Gary Gray briefed a meeting of the caucus legal and international affairs committee on the migration agreements on Monday and are expected to do the same with all Labor MPs to try to cool opposition to the deals.

Despite union criticism, the influential head of the Shop, Distributive and Allied Employees Association, Joe de Bruyn, said Ms Gillard continued to have his full support.

Another source said Ms Gillard could also still count on the Australian Workers Union and allied parliamentarians. But one source said the core of 25 or so votes from the bloc “may not be enough to protect her”.

The Australian Financial Review

BY Laura Tingle

Laura Tingle, The Australian Financial Review's
political editor, has worked in the parliamentary press gallery in
Canberra for more than 25 years. Laura has won two Walkley awards and
the Paul Lyneham Award for Excellence in Press Gallery Journalism and
has also been highly commended by the Walkley judges for
investigative reporting.

BY Laura Tingle

Laura Tingle, The Australian Financial Review's
political editor, has worked in the parliamentary press gallery in
Canberra for more than 25 years. Laura has won two Walkley awards and
the Paul Lyneham Award for Excellence in Press Gallery Journalism and
has also been highly commended by the Walkley judges for
investigative reporting.